Following successful Ukraine recovery and reconstruction conferences over the past six months--in cities like Paris, Lugano and Berlin--Luxembourg will get its own and dedicated to the topic on 31 January.
Even if Luxembourg has allocated 15% of its defence budget to support Ukraine and has awarded close to €100m in financial aid to the country, the ULBC conference will undoubtedly boost public and private support.
As Paliy told Delano, the conference panels will address several pillars: rule of law, democratic reforms, social policies, infrastructure, education, technology, agriculture and sports and culture. She’s the first to admit that “it’s ambitious. There are many topics, but as soon as you touch one topic, it covers another. Take, for example, roads, which are needed for infrastructure [but also] agriculture, [otherwise] you cannot connect it to the world.”
The past six months have witnessed several successful similar conferences. In Lugano, Switzerland, this past July, Ukraine released its reconstruction and recovery plan. At the same time, the European Investment Bank (EIB)--one of the ULBC partners on the upcoming Luxembourg event--offered a new EU-Ukraine Fund. Another conference held in Paris in December resulted in participating countries’ pledging €1bn in aid.
Taking the example of agriculture again, there will be large-scale investments needed once the war is over, but not just then. “We have big players in agriculture, but also small businesses that need loans, need the leasing of tractors, equipment, and there are opportunities for that type of investment.”
Addressing issues of transparency, risks
Paliy sees Luxembourg as having great potential to help in the efforts to rebuild Ukraine--not only is the government already supportive to the cause, but the country is a funds hub with several EU institution headquarters. There’s also the experience of Luxembourg companies with close business ties to Ukraine, such as ArcelorMittal and Paul Wurth, which will have an active role in the conference.
The conference is organised in such a way that Ukrainian and Luxembourg businesses and public players can discuss and learn from one another. Several high-level Ukraine ministers and business leaders will be in attendance--from the infrastructure and energy sectors, to banking, tech, anti-corruption groups and more.
We want to show the fears of investors, why they don’t want to invest, why they’re scared to invest in Ukraine…
Paliy explains: “We want to show the fears of investors, why they don’t want to invest, why they’re scared to invest in Ukraine. What problems are similar to each investor, whether it’s small, a family office, an individual who wants to rebuild a school or hospital…”
Among the topics Paliy is anticipating are “corruption, the rule of law--whether the investments are transparent, whether [they] will go directly to the project, the investing climate in the country, whether it has changed, whether it is safe [also] physically after the war, as there will be weapons.”
Ukraine represenatives will be there to explain how they are supporting investors internally, how risks are being addressed. Paliy also states that “the reform of the court system is needed”--which she adds needs to be addressed before the “Ukraine victory”--not after. The ULBC anticipates discussions around Luxembourg’s prominent role in shaping Europe’s response when it comes not just to financing but also with regards to reform.
But companies will play a vital role in sharing their experiences. ArcelorMittal, for example, has a steel plant in Kryvyi Rih (central Ukraine) which, in March 2022, made the to idle its activities. In the meantime, the plant was operating at about a . But Russian rocket attacks on the site in November and electricity limitations caused a . Nevertheless, it is still present in the country, even if its staff has been reduced--in part because of those who have left to serve in the war.
Prototype instruments
The forum also aims to produce a set of prototype instruments. Technical workshops will take place with invited participants on the second conference day linked to investment structures and product design, sequencing and coordination with official sector financing.
The EIF, EIB, White & Case and Integrites will be on site for the financial side of the discussion at the main conference. Clearstream, another sponsor, will too: “Clearstream is issuing bonds in Ukraine and worked with them in financial markets, thinking about prototpyes, different financial opportunities, and how to make safe investments in Ukraine,” Paliy adds. “These prototypes should be discussed, then we will see what can be done, how to invest in which kind of funds, how to secure the insurance of these investments.”
Gala to support Ukraine first lady’s foundation
Even before the February 2022 invasion of Ukraine, the ULBC was making bilateral connections--something Paliy says has paid off and something she sees as continuing on an even deeper level following the business forum. She sees Luxembourg as a pivotal country to help play a role in advance, to help with the legwork on such frameworks which can be quickly get going once there’s a “green light” and “victory for Ukraine”.
In addition to helping Ukraine refugees upskill or find work in the grand duchy, the ULBC is proud that several Ukrainian post-docs have received grants to currently study in Luxembourg.
“You have to have the cooperation between European universities and Ukrainians in this sphere so that after graduation, you have prepared workers not only to be really experienced in [for example] technology but also for infrastructure for rule of law, reforms, the fighting of corruption, all this” for a Ukraine of the future. “And Luxembourg is really supportive in the educational sphere.”
Education is also one of the main focuses of the , which works to restore human capital of Ukraine, also in healthcare and other humanitarian needs. While the conference on 31 January will be devoted to discussions and working groups, the evening’s gala dinner is 100% for charity.
“For companies, it's important to know that they can make taxable refund; they can do it through the ArcelorMittal Foundation,” Paliy adds. But, given Olena Zelenska is the first lady of Ukraine, who is “traveling, working a lot, we see this as an opportunity to support in the most transparent way.”
For more information or to register for the Rapid Recovery of Ukraine conference or gala, visit or email [email protected] .